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PARLIAMENT OF INDIA RAJYA SABHA
DEPARTMENT-RELATED PARLIAMENTARY STANDING COMMITTEE ON TRANSPORT, TOURISM AND CULTURE
TWO HUNDRED FORTY SEVENTH REPORT
Demands for Grants (2017-18) of the Ministry of Shipping
(Presented to the Rajya Sabha on 17th March, 2017) (Laid on the Table of Lok Sabha on 17th March, 2017)
Rajya Sabha Secretariat, New Delhi March, 2017/ Phalguna, 1938 (Saka)
CONTENTS
PAGES
1. COMPOSITION OF THE COMMITTEE...... (i)-(ii)
2. INTRODUCTION...... (iii)
3. ACRONYMS...... (iv)
4. REPORT...... 1-27
5. RECOMMENDATIONS/OBSERVATIONS— AT A GLANCE...... 28-34
6. MINUTES...... 35-42
7. ANNEXURES...... 43-59
COMPOSITION OF THE COMMITTEE
(Constituted on 1st September, 2016)
1. Shri Mukul Roy — Chairman
RAJYA SABHA
2. Shri Ritabrata Banerjee
3. Dr. K. Chiranjeevi
4. Dr. Prabhakar Kore
5. Shri Kiranmay Nanda
6. Shri Rangasayee Ramakrishna
7. Kumari Selja
8. Shri Rajeev Shukla
9. Shri Narendra Kumar Swain
10. Shri Lal Sinh Vadodia
LOK SABHA
11. Shri Subrata Bakshi
12. Shri Ram Charitra Nishad
13. Shri Vinod Chavda
14. Shri Rajeshbhai Naranbhai Chudsama
15. Kumari Arpita Ghosh
16. Shri Rahul Kaswan
17. Shri P. Kumar
18. Shri Harish Chandra Meena
19. Yogi Aditya Nath
20. Shri Kristappa Nimmala
21. Shri Rajesh Pandey
22. Shri Rajesh Ranjan
23. Shri P. Srinivasa Reddy
(i) 24. Shri Ram Kumar Sharma
25. Shri Prathap Simha
26. Shri Dushyant Singh
27. Shri Kunwar Haribansh Singh
28. Shri Rakesh Singh
29. Shri Shatrughan Sinha
30. Shri Manoj Tiwari
31. Shri K. C. Venugopal
SECRETARIAT
Shri J. G. Negi, Joint Secretary
Shri Swarabji B., Director
Shri Arun Kumar, Assistant Director
Shrimati Catherine John L., Assistant Director
Shri P. P. Raumon, Committee Officer
(ii) INTRODUCTION
I, the Chairman, Department-related Parliamentary Standing Committee on Transport, Tourism and Culture, having been authorized by the Committee to present on its behalf, do hereby present this Two Hundred Forty Seventh Report on Demands for Grants (2017-18) of the Ministry of Shipping.
2. The Committee, at its meeting held on 23rd February, 2017 considered the subject and heard the Secretary and other officials of the Ministry of Shipping.
3. The Committee wishes to express its thanks to the officers of Ministry of Shipping for placing before the Committee, the material and information desired in connection with the subject and for clarifying the points raised by the Members.
4. The Committee considered and adopted the Report at its meeting held on the 9th March, 2017.
NEW DELHI; MUKUL ROY 9 March,, 2017 Chairman, Phalguna 18, 1938 (Saka) Department-related Parliamentary Standing Committee on Transport, Tourism and Culture, Rajya Sabha
(iii) ACRONYMS
A&N : Andaman and Nicobar
ALHW : Andaman and Lakshadweep Harbour Work
B E : Budget Estimates
CEZ : Coastal Economic Zone
CAGR : Compound Annual Growth Rate
CIWTC : Central Inland Water Transport Corporation Limited
CoS : Committee of Secretaries
DCI : Dredging Corporation of India
DGLL : Directorate General of Light Houses and Light Ships
DWT : Dead Weight Tonnage
FY : Financial Year
GBS : Gross Budgetary Support
HDPEL : Hooghly Dock and Port Engineers Limited
ICTT : International Container Trans-shipment Terminal
IEBR : Internal and Extra Budgetary Resources
IMU : Indian Maritime University
IPRCL Indian Port Rail Corporation Limited
IWAI : Inland Waterway Authority of India
IWT : Inland Water Transport
JICA : Japan International Corporation Agency
JNPT : Jawaharlal Nehru Port Trust
MCuM : Million Cubic Meter
MDP : Management Development Programme
MGPT : Mormugao Port Trust
(iv) MMTPA : Million Metric Tons Per Annum
MoU : Memorandum of Understanding
MT : Metric Tonne
NER : North East Region
NWs : National Waterways
PPP : Public Private Partnership
PSU : Public Sector Undertaking
R&D : Research and Development
RE : Revised Estimates
SCI : Shipping Corporation of India
SPV : Special Purpose Vehicle
TEU : Twenty Foot Equivalent Unit
TAMP : Tariff Authority for Major Ports
VGF : Viability Gap Funding
VPT : Visakhapatnam Port Trust
VoCPT : V.O. Chidambaranar Port Trust
(v) REPORT
The Ministry of Shipping encompasses within its fold the port and shipping sectors which include major ports, shipbuilding and ship-repair, national water-ways and inland water transport. The Ministry has been entrusted with the responsibility to formulate policies and programmes on these subjects and their implementation.
2. The following subordinate/attached offices, autonomous organizations, societies/associations and public sector undertakings are functioning under the administrative control of the Ministry of Shipping.
• Directorate General of Shipping, Mumbai (including Minor Ports Survey Organization, Mumbai)
• Andaman and Lakshadweep Harbour Works, Port Blair
• Directorate General of Lighthouses and Lightships, Noida
• Port Trusts at Kolkata, Kochi (Cochin Port Trust), Kandla, Chennai, Mormugao, Mumbai, Nhava Sheva (Jawaharlal Nehru Port Trust), Paradip, Tuticorin (V.O. Chidambaranar Port Trust), Visakhapatnam and New Mangalore
• Dock Labour Board at Kolkata
• Inland Waterways Authority of India, Noida
• Tariff Authority for Major Ports, Mumbai
• Seafarer's Provident Fund Organization, Mumbai
• Indian Maritime University
• Seafarer's Welfare Fund Society
• National Shipping Board
• Indian Ports Association
• Shipping Corporation of India Limited
• Cochin Shipyard Limited
• Central Inland Water Transport Corporation Limited
• Dredging Corporation of India Limited
• Hooghly Dock and Ports Engineers Limited
• Kamarajar Port Ltd. Ennore 2
• Sethusamudram Corporation Limited
• Sagarmala Development Company Limited
• Indian Port and Rail Company Limited
• Indian Port Global Private Limited.
3. Demand No.87 containing the details of budgetary provisions of the Ministry of Shipping for the financial year 2017-18 was scrutinized by the Department-related Parliamentary Standing Committee on Transport, Tourism and Culture in its meeting held on the 23rd February, 2017. The Secretary, Ministry of Shipping along with the senior officials explained to the Committee various aspects of the budget and functioning of the Ministry. The Committee examined the budget documents of the Ministry and the replies furnished by the Ministry to the questionnaire.
ANALYSIS OF TWELFTH PLAN ALLOCATIONS
4. The outlay for the Ministry during the Twelfth Plan includes ` 6960 crore as Gross Budgetary Support (GBS) out of which ` 3057.47 crore (44%) and ` 3902.53 crore (56%) have been earmarked for Ports and Shipping Sectors respectively and ` 18946.18 crore as Internal and Extra Budgetary Resources (IEBR).
5. The details of the year-wise utilization of Plan funds of the Ministry of Shipping during the Twelfth Plan period are as under:
(` in crore)
Year BE RE Actual Actual Exp. Actual Exp. as % of BE as % of RE
GBS IEBR GBS IEBR GBS IEBR GBS IEBR GBS IEBR
2012-13 812.00 4858.47 502.00 5051.30 495.15 3736.15 60.98 76.90 98.64 73.96
2013-14 846.00 6235.30 530.00 4079.36 491.03 3681.19 58.04 59.04 92.65 90.24
2014-15 899.00 3637.32 450.00 2152.47 442.83 1334.53 49.26 36.69 98.41 62.00
2015-16 932.79 3013.74 824.00 2533.42 817.26 1814.24 87.61 60.20 99.18 71.61
2016-17 1000.00 3183.14 952.96 4434.87 729.33* 1777.48* 72.93 55.84 76.53 40.08
TOTAL 3489.79 17744.83 2306.00 13816.55 2241.68 10531.27 64.24 59.35 97.21 76.22
*The Expenditure for the year 2016-17 is up to 31.01.2017.
6. The Committee notes from the details given by the Ministry of Shipping that the GBS got reduced at the RE stage in the five annual plans. However, the percentage of reduction was less during 2016-17 compared to the previous years. 3
7. The Committee observes that the Twelfth Five Year Plan outlay for the Ministry of Shipping development in the country was ` 6960 crore as GBS and ` 18946.18 crore as IEBR. Out of it, the major chunk of allocation (GBS) of ` 3902.53 crore was for development of shipping sector and ` 3057.47 crore for the Ports Sector. From the data provided by the Ministry of Shipping, the total allocations made all these five years was only ` 2306 crore out of which the spending up to 31st January, 2017 is ` 2241.68 crore. The Committee is very disappointed to note that the actual allocation made to Ministry of Shipping is only 32.20% of the outlay (GBS) decided by the Planning Commission. The Committee recommends that the Ministry of Shipping should give due care in utilizing the allocations promptly by completing the targeted projects within the stipulated time.
8. The Committee desires to know the comparison of the targets fixed by the erstwhile Planning Commission during Twelfth plan period for the Ministry of Shipping and the achievements of the targets made by the Ministry at the end of the Twelfth Plan period. The year-wise details and the percentage of achievement, etc. of each of the targets set in the Port and Shipping Sectors may be provided at the time of submission of the Action Taken Replies to this Report.
ANALYSIS OF ANNUAL PLAN 2016-17
9. The Ministry of Shipping informed that BE of ` 1000 crore had got reduced to ` 952.96 crore at the RE stage during 2016-17. The Sector-wise details of expenditure statement of Plan fund 2016-17 is given below:
(` in crores)
Sl. No. Scheme BE 2016-17 RE 2016-17 Expenditure % of Exp till 03.02.2017 wrt RE
1. Ports 98.27 165.12 89.97 54.49
2. Sagarmala 450.00 406.20 323.89 79.74
3. Lighthouses 53.50 40.00 33.90 84.75
4. Shipping & Ship Building 48.23 45.34 42.06 92.77
5. Inland Water Transport 350.00 296.30 239.51 80.83
GROSS TOTAL 1000.00 952.96 729.33 76.53
10. During 2016-17 the BE allocation of Non-Plan was ` 531.00 crore which was reduced to ` 501.04 crore at the RE stage. The expenditure up to 31st December, 2016 as informed by the Ministry of Shipping is ` 34.53 crore which is 72.76% of the RE.
11. The Secretary, Shipping informed the Committee during deliberations that the following are the key achievements of the Ministry during 2016-17: 4
- JNPT is the first major port to raise Foreign Denominated Loan of US $400 mn
- To promote clean fuelled vessels, regulations for LNG vessel and bunkering facilities being formulated by PNG and Shipping regulators.
- Highest ever budget allocation for the Ministry.
- Inland Waterways Authority of India permitted to raise bonds of ` 1000 crore for the first time.
- Highest ever capacity addition of 100 Million Tonnes (MT) in Major Ports expected in 2016-17 (85 MTPA added till January, 2017).
- Operating surplus of Major Ports to touch about ` 5,000 crore an increase of 15% over 2015-16.
- On Ganga (NW-1), construction commenced for Multimodal Terminals at Varanasi and Sahibganj and Navigation Lock at Farakka.
- Ministry of Shipping has shifted to e-file mode of working from 1st January, 2017.
12. The Committee notes the major achievements made by the Ministry of Shipping during 2016-17. There was a slight cut in both Plan and Non-plan allocations during 2016-17 and the Ports got enhanced allocation during RE 2016-17. The Committee also notes that Port Sector is the only sector which got an enhanced allocation at RE stage. Allocations to all other schemes were reduced at RE Stage. However, the percentage of spending on 03.02.2017 is only 54.49% of the RE amount of ` 165.12 crore in the Port projects. The Committee desires to know the reasons why the port sector could not utilize the enhanced amount during 2016-17.
13. The Committee is happy to note that shipping and ship building schemes have spent 92.77% of their allocations. The Lighthouses and Inland Water Transport schemes also have spent a greater portion of their allocations during 2016-17. The Committee recommends that Ministry of Shipping should take a feed back on the reason why certain schemes could not utilize allocated fund and should take necessary corrective measures during the next financial year onwards.
14. The Ministry while replying to a query informed that the following Projects could not achieve required physical targets during FY 2016-17:
• The Project of Construction of Subway/flyover in front of the ICTT at CoPT could not be completed for want for clearance from Railways for super structure drawing of Railway span. The work will now be completed by June, 2017 if Railway clearances are received on time.
• NW-4:- Assessment of land requirement and modification of cross structures is awaited from the Government of Andhra Pradesh and due to the change in policy for development of NWs, development of stretch between Muktyala and Vijaywada has been kept on hold.
• NW-5:- The progress of Fairways development between Erada and Padnipal is not as per the assigned physical target due to problems relating to agitation of villagers for compensation of their Patta land. 5
• Jal Marg Vikas:- JMVP is progressing as per schedule, however, land acquisition, wildlife/CRZ clearance/PIB approval of the project are concerns which may affect the progress.
15. The Committee notes that certain projects could not achieve required physical targets during 2016-17 due to various reasons. As regards the construction of flyover in front of ICTT the Committee recommends that the Ministry of Shipping should pursue the matter with the Ministry of Railways to get the necessary clearances at the earliest. As in the case of National Waterway-4 the Government of Andhra Pradesh may be approached for getting the assessment of land requirements and modification of cross structures. The Committee notes that in the case 7 NW-5 and Jal Marg Vikas, the land questions and the necessary clearances should be obtained before commencement of the projects. The IWAI should take up the matter regularly with the concerned Ministry/Departments to get the clearances without delay.
16. The Committee feels that the Ministry of Shipping did not took the necessary ground works before listing the projects and making allocation for them. As a result thereof, the projects are struggling at initial stages itself due to want of required clearances. The Committee recommends that allocation should be made to all projects after getting necessary basic clearances for commencement of the projects.
ANNUAL PLAN 2017-18
17. The Ministry of shipping informed that total outlay of the Ministry for 2017-18 is ` 1773 crore. This includes provision of ` 1388.84 crores for Revenue and ` 384 crores for Capital expenditure.
18. The following is the head-wise and scheme-wise allocation of funds for the year 2017-18:
(` in crore)
Revenue Capital Total
1 2 3 4 5
1. Secretariat - Economic Services 75.03 75.03
Total - Secretariat-Economic Services 75.03 75.03
2. Development of Ports
Projects of VOCPT 15.00 15.00
Projects of Cochin Port Trust 10.00 10.00
Projects of Chennai Port Trust 10.00 10.00
Projects of Mormugao Port Trust 10.00 10.00
Assistance to other Major Ports 0.01 0.01
Research & Development (Port) 4.00 4.00 6
1 2 3 4 5
Green Port Initiative (Ch. Port) 6.00 6.00
Assistance to ALHW 64.23 94.15 158.38
ALHW - Suspense 2.50 2.50
ALHW - Suspense Recoveries -2.50 -2.50
Oil Pollution Mitigation Measures 12.00 12.00
Swachchta Action Plan 8.00 8.00
TOTAL : Development of Ports 139.24 94.15 233.39
3. Sagarmala
Sagarmala Community Development Fund 30.00 30.00
Studies & Administration Expenditure 20.00 20.00
Sagarmala Development Company 250.00 250.00
Coastal Shpping Berths(3051) 50.00
Sagarmala Projects (3051) 80.00
Coastal Shpping Berths(3601) 100.00
Sagarmala Projects(3601) 70.00
TOTAL: Sagarmala 350.00 250.00 600.00
4. Ship Building
Ship Building 2.00 2.00
Private Sector Shipyard Subsidy 10.00 10.00
TOTAL : Ship Building 12.00 12.00
5. Other Central Sector Schemes
Directorate General of Shipping 110.00 30.00 140.00
Ballast Water Management 0.66 0.66
Directorate General of Lighthouses & Lightships 280.00 54.00 334.00
Less Receipts/Recoveries -280.00 -54.00 -334.00
Indian Maritime University 125.00 125.00
Contribution to International Maritime Organization 2.75 2.75 7
1 2 3 4 5
Assistance to KoPT - Dredging and 180.00 180.00 Maintenance in Haldia River
KoPT-Dredging & Maintenance in Hooghly & 12.00 12.00 Haldia River
Web based EDI 0.01 0.01
River Regulatory Measures KoPT 0.00 10.00 10.00
Tariff Authority of Major Ports 10.16 10.16
VRS, Statutory Dues, Income Tax Liabilities of 21.00 21.00 HDPEL
TOTAL : Other Central Sector Schemes 461.57 40.01 501.58
6 Inland Water Transport Authority of India
Grants to Inland Water Transport Authority 102.00 102.00 of India
IWAI - Grants in aid - Salaries 75.00 75.00
Aid to Bangladesh 48.00 48.00
IWT - NER 126.00 126.00
TOTAL : IWAI 351.00 351.00
TOTAL : 1388.84 384.16 1773.00
19. Regarding the projected demand for 2017-18, Ministry of Shipping informed that they made a total demand of ` 4428.01 crore out of which ` 1773.00 crore has been allocated. A scheme-wise projected demand and actual allocation for 2017-18 is given in Annexure-I.
20. The Secretary, Ministry of Shipping during the deliberations stated that they have completed preparatory project development work related to Ports modernization, Sagarmala, coastal shipping including coastal berths, IWT and ALHW. Among this, the port development and modernization projects can be done from ports' own resources. However, works related to Sagarmala, coastal shipping, IWT and ALHW can be fast-tracked if additional budgetary allocation is provided.
21. The Committee notes that Ministry of Shipping got an allocation (GBS) of ` 1773.00 crore during 2017-18. However, the projected demands of the Ministry was ` 4428.01 crore. According to the Ministry a large number of projects could not be undertaken as sufficient funds are not received for carrying out the works. It can be seen that for some of the projects at Chennai Port 8 and Mormugao Port even 10% of the demand was not met. The Ministry asked for ` 515.01 crore for starting up the work for Sagar Port, ` one lakh was allocated.
22. The Committee also notes that the total demand for various ports projects was ` 1512.76 crore but the allocation is only ` 139.24 in the revenue head. For Shipping and shipbuilding, the demand was ` 527.00 crore and the allocation is a mere ` 12.00 crore. However the IWAI has somehow managed to get comparatively better allocation this year. The Committee recommends that more allocation may be made to Ministry of Shipping for carrying out their various projects proposed to undertake in the financial year 2017-18. The Ministry of Finance may be approached for getting enhanced allocation at RE stage.
23. The Committee recommends that in order to fast-track the works related to Sagarmala, coastal shipping, IWT and ALHW, additional budgetary allocation may be provided to Ministry of Shipping during 2017-18.
PORT SECTOR
24. The Ministry of Shipping informed that in RE 2016-17 the total allocation for Port Sector was ` 165.12 crore out of it, an amount of ` 34.01 crore was allocated for various Port projects and Ports related schemes under Plan Head. The allocation was mainly given as Government Budgetary Support for Capital Dredging and Connectivity Projects. Out of the ` 34.01 crore, an amount of ` 33.46 crore was spent during the year (upto January, 2017) which represents about 98 % of the BE.
25. The allocation (GBS) during 2017-18 is ` 139.24 crore under Revenue head and ` 94.15 crore under Capital head.
26. The following table gives the details of amount allocated to ports and their actual requirement during 2017-18 under the revenue head:
Name of the Port/ Amount Amount Name of the project Scheme allocated required (In ` crore) (In ` crore) V.O. Chidambaranar 15.00 120.06 Capital Dredging Mormugao 10.00 107.00 Construction of Four Lane Port Connectivity Road Chennai 10.00 33.00 Coastal Road Protection Work Cochin 5.00 16.00 (i) Construction of Subway/Flyover 5.00 36.10 (ii) Rail Connectivity to ICTT- Rail Over Bridge Swacch Bharat 8.00 0 Activities under Swacch Bharat Abhiyan (Cochin, Abhiyan Mormugao, Chennai and Kolkata Ports) 53.00 312.16 9
27. The following paragraphs gives the details on the present status of projects mentioned above:
(i) The Capital Dredging Project of VoCPT Port - has been completed at a total cost of ` 448.20 out of which the Government’s grant is ` 224.00 crore. So far ` 103.84 crore has been released and the balance of ` 120.06 crore is to be released in 2017-18 towards cost of the Project as committed.
(ii) The Construction of Four Lane Port Connectivity Road of MoPT- This work is in progress and the total port share for the work is ` 187.00 crore and the Government has already released GBS of ` 80.00 crore. The work is to be completed by 2019. This is part of the obligation of the port towards the project.
(iii) The Coastal Road Protection Work- Total cost of the project is ` 63 crores. Till date, an amount of ` 30 crores has already been released to the Port (` 15 crores during 2014-15, ` 10 crores during 2015-16 and ` 5 crores during 2016-17). This is part of the obligation of the port towards the project. 80% of the work has already been completed.
(iv) (a) Construction of Subway/Flyover- SFC has approved the project relating to construction of a sub way/Fly over in front of the International Container Transshipment Terminal (ICTT) Gate at Vallarpadam. The work is in progress. An amount of ` 4 crores has already been released during 2016-17. This is part of the obligation of the port towards the project which is nearing completion.
(b) Rail Connectivity to ICTT- Rail Over Bridge. The increased amount of ` 36.61 crores in the case of Rail connectivity to ICTT at Vallarpadam as approved in the 3rd Revised Cost Estimate (RCE) is required to be released to the Port as funds are immediately needed for ensuring the completion of the project.
(v) Under the Swacch Bharat Abhiyan, an amount of ` 8.00 crore is being allocated to four Ports which do not have sufficient funds/financial resources to undertake various activities involved under the Abhiyan. ` 2 crore each is proposed to be allocated to KoPT, MoPT, ChPT and CoPT.
28. The Committee notes that the allocation made to Port Sector is highly insufficient to meet the committed liability of the various ports during 2017-18. In the case of VoCPT, the capital dredging work has already completed and they should release the balance amount of ` 120.06 crore for which the allocation made is only ` 15.00 crore. In the case of Chennai Port, their coastal road protection work is completed by 80% and the payment is in midway. They also need 33 crores for completing the work. The Cochin Port has two projects to be carried out which need 52 crore, but the allocation is only 10 crore. The activities under Swachh Bharat Abhiyan got nil allocation this time. The Committee strongly recommends that the Ministry of Finance may take a review of the situation after the completion of first quarter of Financial Year 2017-18 and additional allocation may be made as per their requirement thereafter. 10
PORT EFFICIENCY AND PRODUCTIVITY
29. The Ministry of Shipping informed that the efficiency and productivity of Ports have got a fillip as a result of implementation of various benchmarking initiatives to international standards suggested by a benchmarking consultant. Out of the 116 initiatives for various Major Ports, 70 have already been implemented and the remaining would be implemented by 2019. With the various measures taken from time to time, the Major Ports have made tremendous progress in terms of various parameters as indicated in the table below:
Unit At the beginning of the 2015-16 2016-17 (on 12th Plan (31.03.2012) 31.01.2017)
Port Capacity MTPA 696.53 965.00 1049.45
Cargo Traffic MT 560.14 606.47 535.35
Average Turn Around Time Days 2.61 2.04 2.08
Average Output per ship Tonnes 11112 13584 14478 berthday
30. The following table gives the details of Port Capacity addition and investments done during Twelfth Plan Period:-
F.Y. No. of Projects Capacity Investment Awarded (in MTPA) (` in crores)
2012-13 32 136.75 6,765.63
2013-14 30 217.57 20,709.93
2014-15 26 155.23 10,543.47
2015-16 30 162.10 15,334.77
2016-17 33 102.00 9,845.00
TOTAL 151 773.65 63,198.80
31. The Ministry also informed that the operating surplus in Major Ports which was ` 3,599 crore in 2014-15 grew to ` 4,309 crore in 2015-16 registering a growth of 19.72%. The Major Ports are expected to grow at around 15% in 2016-17 with increase in operating surplus.
Cargo Traffic by Major Ports
32. The following table gives the details of comparison of cargo handled by major ports during years 2015-16 and 2016-17: 11
Ports April to January % Variation against prev. year traffic
2017 2016
12 34
Kolkata
Kolkata Dock System 12888 14113 -8.68
Haldia Dock Complex 27679 27478 0.73
TOTAL: Kolkata 40567 41591 -2.46
Paradip 72902 61676 18.20
Visakhapatnam 50989 47114 8.22
Kamarajar (ENNORE) 24856 25936 -4.16
Chennai 42208 41528 1.64
V.O. Chidambaranar 32163 30862 4.22
Cochin 20455 18494 10.60
New Mangalore 32408 28528 13.60
Mormugao 26065 16094 61.95
Mumbai 52945 51405 3.00
JNPT 51323 53546 -4.15
Kandala 88470 82912 6.70
TOTAL 535351 499686 7.14
- Nine Ports (Paradip, Visakhapatnam, Chennai, V.O. Chidambaranar, Cochin, New Mangalore, Mormugao, Mumbai and Kandla) registered positive growth.
- Three Ports viz. Kolkata, Kamarajar and JNPT registered negative growth.
- Kamarajar Port Limited with -4.16% decline in growth rate registered the highest negative growth, followed by JNPT (-4.15%) and Kolkata (KDS+HDC) (-2.46%).
33. The Ministry has given the following reasons for decline in traffic:-
- Decline in Kamarajar Port growth was due to reduction in Thermal and Steam Coal traffic by -6.68%.
- In JNPT, decline was witnessed in other liquids traffic by -5.53% followed by Container by -4.92%. 12
- In KDS, decline was due to decrease in Fertilizer Raw Materials by -90.20% followed by Coking and Other Coal traffic by -68.56%, Fertilizers by -44.09%, Other Liquids by -24.08% and Other Misc. Cargo by -9.09%.
34. The Ministry of Shipping also informed that to promote coastal transportation of vehicles, major ports are providing 80 per cent discount on port charges for Ro-Ro ships.
35. The Committee notes that the port capacity has been enhanced during 2016-17 and the total capacity among the Major Ports is 1049.45 MTPA at the end of the last plan year. There is a considerable increase of capacity during the Twelfth Plan period. During the period a total of 352.92 MT has increased. The Committee is optimistic that the port capacity will further increase in the next plan period to accommodate the growth in EXIM trade of India.
36. However, the Committee with a little dismay, has noticed that the cargo growth is not up to the mark as per the figures given in the beginning of the Twelfth Plan period. The Committee notes that the growth of cargo traffic by Major Ports are not commensurating with the port capacity additions. The Committee also notes that nine ports registered positive growth while four ports have been in the red. The Committee recommends that all efforts should be explored to keep the cargo growth in all the ports throughout the year. The ports who have registered negative growth during 2016-17 should workout effective plans to reverse the situation.
37. The Committee notes that the Major Ports in Eastern Peninsula are struggling to make profits and its viability is in question. The coastal shipping is also not being improved at optimal level according to the potential of the country. The Committee observes that the viability of the Major Ports in the Eastern Peninsula can be improved by coastal shipping by providing the facility of Sethusamudram canal.
DREDGING:
38. As regards dredging, the Secretary, Ministry of Shipping deposed before the Committee that:
"With regard to dredging, I will briefly mention that the Twelfth Plan's objective was that our port should, at least, have 14 metres of draft and wherever feasible, it should be deeper. Sir, I personally feel that except for one or two ports where it is not technically and financially feasible—Calcutta is one such example where we cannot have 14 metres of draft—we are trying to push this envelope and provide for 18 metres of draft. Vizag outer is there; Kamarajar has already 18 metres; Goa is in the process of going for 18 metres; JNPT is also in the process of tendering for going one-and- a-half metres further down. Wherever it is technically and financially feasible, the ports are going for deeper draft, in line with larger shipping".
39. The details of the dredging activities undertaken during 2016-17 is given in the Annexure-II.
40. The Committee is happy to note that except for one or two Major Ports, all the others have maintained 14M draft and they are going further ahead to achieve 18M depth. The Committee 13 is optimist that in the coming years these ports could accommodate larger vessels in the berths and thereby increase their cargo throughput.
41. The Committee notes that the capital dredging work of the Mormugao Port has been stalled due to withdrawal of the Environmental clearance given to the projects. The Committee desires to know the decision of the Goa State Pollution Control Board on the matter when it is available. The Committee recommends that the Ministry of Shipping may pursue the matter with the concerned authorities.
42. The Committee notes that since the Kolkata Port being a riverine port, it requires frequent maintenance dredging to keep the desired depth of the draft. The Committee recommends that required budgetary sanctions may be given to Kolkata Port to meet the requirements.
CONNECTIVITY TO MAJOR PORTS
43. The Secretary, Ministry of Shipping during deliberations have informed that Indian Port Rail Corporation Ltd. (IPRCL) is set up to take up last mile connectivity projects of Ports. 26 works worth ` 5726 crore were taken up out of that 10 works were awarded and three more works to be awarded during 2017-18.
44. Regarding congestion in the Major Ports, the following information was submitted by the Ministry of Shipping:
(i) Jawaharlal Nehru Port: The port was facing an acute traffic congestion problem since 2012. By providing dedicated roads for GTI, JNPCT and NSICT Traffic, the issue has been addressed to a large extent. Additional remedial measures action taken by the Port also includes development of Parking facilities, widening of Roads, provision of security guards for controlling the traffic, Gate automation, inter terminal movement of containers, common rail operator for all the terminals, CFS delivery by rail, implementation of e-delivery orders, abolition of manual forms 11 and 13 etc. RFD has been installed to reduced dwell time. With these measures, traffic congestion at the port has eased out.
(ii) Chennai: Chennai Port has taken up connectivity projects for improving the road connectivity to hinterland so as to make evacuation faster. These include Chennai-Ennore Port road connectivity project and elevated four lane link road from Chennai port to Maduravoyal on NH-4. The port is also carrying out works to widen internal port roads to four lane/six lane depending on available space to regulate the movement and also implementing RFID Technology. In addition, roads are planned under Sagarmala project for easy access to the two container terminals. Further, Rail evacuation of cargo (Containers, Cars and dry bulk) will substantially improve after development of port connectivity through the Chennai Beach-Royapuram railway to the 3rd and 4th lines planned by Southern Railways.
(iii) Mormugao: Port connectivity is adversely affected on account of restrictions imposed by Vasco city administration on plying heavy vehicles to and from city for 6 hrs. per day. This 14
is the only access of Port Connectivity. As part of NH-17B connectivity a city by pass road is planned and work order has been issued on 30.09.2015. The work is expected to be completed by September, 2018. Also there is severe congestion in the South Western Railway Network resulting in slow evacuation of rail borne cargo. The South Western Railway Network needs to be doubled to address this problem. The issue has been taken up with Ministry of Railways.
(iv) Kolkata Dock System: Kolkata Port is a riverine port and both the dock systems are having Lock Gate constraints for majority of the berths. Another major constraint is that the Port is located in the city area where restrictions on traffic movement are imposed by the Local Authorities. At Kolkata Dock System measures/steps have been taken for removal of import containers from hook point of vessels to Container Freight Station without grounding at the yards, creating of parking lots, repair of major roads and regular interaction with the Local Authorities as well as Stakeholders
(v) Haldia Dock Complex (Kolkata Port): Various measures are being taken by the Port to reduce congestion at HDC. These include movement of ships/vessels through Eden Channel, repair of Lock gate at HDC, mechanization of berths etc. Due to Lock Gate constraints, jetties are being planned outside Lock Gate for handling of cargo near Oil jetties, Shalukkhali etc.
45. The new road projects identified for connecting major ports are given in the Annexure-III
46. The Committee notes that 42 road connectivity projects have been undertaken to link all the major ports in the country. The Committee recommends that required financial sanction may be made for timely completion of these projects. The Committee also recommends that more projects which are not yet received environmental clearance may pursue the matter with the Ministry of Environment and Forest.
SAGARMALA
47. Sagarmala Programme has been launched with the objective of promoting port-led development in India with focus on modernization of existing ports and development of new ports, creating efficient and effective connectivity between the ports and the hinterland, port-led industrial development and coastal community development.
48. The Ministry of Shipping has informed that projects worth ` 1 Lakh crore are already under various stages of implementation and development. ` 390.12 crore has been released for 35 projects taken up in FY 2015-16 and FY 2016-17. This includes unique and innovative projects such as Gogha-Dahej RO- Pax Ferry Services Project (` 117 crore sanctioned and ` 58.5 crore released) and RO-RO Services Project at Mandwa (` 57.5 crore sanctioned and ` 43.76 crore released).
49. The Ministry further stated that Sagarmala Development Company Limited has been incorporated on 31st August, 2016, under the administrative control of Ministry of Shipping for providing equity support to project SPVs and residual projects under Sagarmala. SDC Ltd. was incorporated with an initial authorized capital of ` 1,000 crore, and which may be increased subsequently, if required, and a 15 subscribed share capital of ` 90 crore. The entire cost towards authorized capital for the Company with initial subscribed share capital is borne by the Ministry of Shipping. The company will assist the State level/zone level special purpose vehicles (SPVs) and SPVs to be set up by the ports, with equity support for implementation of the projects that they will undertake.
50. The Ministry of Shipping while giving the details of salient features of the Demands for grants 2017-18 stated that there is a provision of ` 600 crore for development of Coastal Economic Zones to be taken up in Phase-I, assistance for development of coastal berths and funding of unique and innovation projects and coastal community development projects under Sagarmala. The provision also includes the budgetary allocation of ` 250 crore for Sagarmala Development Company. The projects identified under Sagarmala Programme are expected to moblilize more than ` 8 lakh crore of infrastructure investment, double the share of domestic waterways in the modal mix, generate logistic cost savings of ` 35,000 to 40,000 crore per annum, boost merchandize exports by USD 110 billion and enable creation of 1 crore new jobs, including 40 lakh direct jobs in the next 10 years.
51. Summary of focus projects under Sagarmala as given by the Ministry of Shipping is:
(` in crore)
Sl. No. Project Theme FY 16-17 FY 17-18 FY 18-19 Total
Project Project Project Project Cost Cost Cost Cost
1 Port Modernisation 39 19,220 13 2,193 20 35,512 72 56,925
2 Connectivity Enhancement 43 14,504 28 16,641 26 139,715 97 170,860
3 Port-Linked 1 3,000 2 5,000 17 94,426 20 102,426
Industrialisation
4 Coastal Community 3 516 3 119 4 688 10 1,373 Development
TOTAL 86 37,240 46 23,953 67 270,341 199 331,534
52. The Committee notes that the Ministry of Shipping has ambitious future plans for carrying out port development work under Sagarmala Project. The Committee also notes that Sagarmala Development Company Ltd. has been incorporated with an initial authorized capital of ` 1000 crore for monitoring the projects. The Committee desires to know the source of funds with the Ministry to achieve this ambitious target.
53. The Committee also note that there are 199 focus projects targeted to be completed under Sagarmala in the next three financial years with an actual cost of ` 333,534 crore. The Committee desires to know the details of financial plans with the Ministry of Shipping to generate that much resource within three years to meet the required fund for completion of the projects. The 16
Committee recommends that financial grants may be provided to projects under Sagarmala as per the requirement.
54. The Committee feels that if the projects under Sagarmala are completed as planned by the Ministry, it will not only boost the economic activities but also create employment opportunities in the country to the greatest extent.
SHIPPING SECTOR
55. Shipping industry is one of the most globalised industries operating in a highly competitive business environment that is far more liberalized than most of the other industries and is, thus, intricately linked to the world economy and trade. Shipping plays an important role in the transport sector of India's economy especially in EXIM trade. Indian shipping tonnage which was only 1.92 lakh Gross Tonnage on the eve of independence now stands at 11.29 million Gross Tonnage as on 30th November, 2016.
56. The following table gives the details of allocations made to Shipping Sector during 2016-17 and 2017-18 and the spending during 2016-17:
2016-17 (BE) 2016-17 (RE) Actual 2016-17 BE 2017-18
GBS IEBR GBS IEBR GBS GBS IEBR
48.23 351.05 45.34 1107.03 42.05 268.41 832.59
57. The Committee notes that during 2016-17 out of the GBS allocation of ` 45.34 crore at RE 2016-17 the Ministry of Shipping has spent ` 42.05 crore so far. Since two more months are there in the financial year, the Committee hopes that they would be able to spend the entire allocation.
58. The Committee notes from Annexure-I, the Ship Building Sector has sought ` 527 crore allocation during 2017-18 however, the actual allocation received is just ` 12.00 crore. The Committee feels that this is highly insufficient. The Committee recommends that sufficient funds may be allocated to Ship Building Sector.
59. The Ministry of Shipping further informed that the Government has taken the following initiatives to improve the shipping sector.
(i) Fiscal incentives to maritime sector:
(a) Reduction of service tax incidence on coastal shipping to reduce transportation cost.
(b) Reduction of Central Excise duty on capital goods, raw materials and spares used for repair of ocean going vessels to reduce the cost of production and of repair of Ships.
(c) Exemption of Customs and Central Excise duty leviable on bunker fuels used in Indian flag vessels carrying a mix of EXIM, empty and domestic containers between two ports in India to reduce coastal container transportation cost. 17
(d) Parity in the tax regime of Indian seafarers employed on Indian flag ships vis-a-vis those on foreign flag ships had mandated that the period of stay in India shall be counted as per the entries made in his/her Continuous Discharge Certificate (CDC).This has benefited around 35,000 seafarers presently employed on Indian flag ships.
(e) Right of First Refusal (RoFR) for Indian flag vessels and Indian dredgers while working on Indian coast.
(f) Indian shipowners have been allowed to buy ships and flag these ships abroad. This policy initiative of "Indian Controlled Tonnage" has facilitated Indian ship-owners to gain access to cheaper funds abroad.
(ii) Cabotage relaxed for specialized vessels such as Ro Ro, Ro-Pax etc. on September 02, 2015 for five years.
(iii) A Central Sector Scheme to provide financial support to Major Ports/Non Major Ports/State Governments for Construction/up-gradation of Coastal berths for Coastal cargo.
(iv) Discount on Port charges for coastal transportation of vehicles through Ro-Ro vessels has been increased from 40% to 80% for two year w.e.f. 20th September, 2016 by Major Ports.
(v) Shipbuilding Sector:
(a) The Government of India has introduced ` 4000 crores Shipbuilding Financial Assistance Policy for 10 years to encourage domestic shipbuilding. Guidelines for the policy have been framed and uploaded on the website of Ministry.
(b) Right of First Refusal to Indian Shipyards While Procuring Vessels by Government and Public Sector for Their Own Use - All government departments or agencies procuring vessels for governmental purposes or for own purposes shall undertake bulk tendering for their vessel related requirements with deliveries starting from 2016-17 and will grant a Right of First Refusal (RoFR) for Indian Shipyards for such order till 2025. From 2025 onwards, only Indian-built vessels are to be procured by these agencies for governmental purposes or for own purpose. Similar benefits will be applicable for repair of their vessels. The guidelines for operationalising such revision have been issued by this Ministry.
(c) Infrastructure status to shipyards–Shipyards will be able to avail flexible structuring of long term project loans, long term funding from Infrastructure Funds at lower rates of interest and for a longer tenure equivalent to the economic life of their assets, relaxed ECB norms, issuance of infrastructure bonds for meeting working capital requirements.
60. The Committee notes the various initiatives taken by the Ministry of Shipping has taken to improve the Shipping and Ship-building Sector of the country. 18
DIRECTORATE GENERAL OF LIGHTHOUSE AND LIGHT SHIPS
61. Presently there are 193 lighthouses, one lightship, 23 DGPS stations, 64 RACONS, 21 deep sea lighted Buoys, 05 wreck Making Buoys, 87 physical shore stations, 01 vessel Traffic Service, 04 Lighthouse Tender vessels and 01 National Navtex Chain under the DG Lighthouses and Lightships.
62. The detail of Project undertaken by DGLL during 2016-17 is given below:-
Sl. No. Name of the Scheme
1. Establishment of a lighted beacon at Sister Island at A & N Islands
2. Establishment of a lighted beacon at Tries Island at A & N Islands 3. Establishment of new Lighthouses in A&N Islands at Honiph Rock Point in Katchal Harbour 4. Establishment of a new Lighthouse at Maipura (Odissa Coast) 5. Establishment of a major LH with Racon at Lushington Shoal 6. Beautification of Lighthouses (Promotion of Tourism at Lighthouses) 7. Const. of office building complex and staff quarters at Vishakhapatnam 8. Establishment of a new Lighthouse at Shankerpur (West Bengal) 9. Establishment of a new Lighthouse at Valayazhikkal, Cochin 10. Establishment of a new Lighthouse with Racon at Kelshi, Mumbai 11. Establishment of a new Lighthouse at Vembar 12. Establishment of a lighted beacon at Bhet Dwarka (Gujarat) 13. Procurement of Wreck Marking Buoys 14. Improvement of Local Light 15. Recapitalization of DGPS 16. National AIS Network (Phase-II) (Additional capacity building of NAIS) 17. Establishment VTS in A & N, Lakshadweep and Non Major Ports 18. Construction of officers and staff quarters at Gandhidham for VTS-GOK. 19. Improvement of Training Setup, Kolkata 20. Miscellaneous works 21. Improvement of Lighthouses 22. ISO Certification for DGLL 23. Provision of Green Energy at Lighthouses 24. Information Technology (e-Governance)
25. Replacement of Asset 19
63. The Ministry of Shipping has submitted that the following new initiatives are proposed during 2017-18 by DGLL and the project costs will be met by budgetary allocations as indicated under:-
(` in crores)
Sl. No. Name of Scheme Proposed Project cost would allocation be met during the 2017-18 period
1. Construction Officers and Staff Qtrs. for VTS GoK 9.00 88% at Gandhidham
2. Recapitalization of DGPS 10.00 43%
3. Establishment of new Lighthouse at Shankerpur 1.00 22%
4. Establishment of National Coastal VTS (covering 7517 Km. 1.00 1% coast line)
5. Establishment of VTMS at Non Major Port (Karwar) 1.00 86%
64. The Secretary, Ministry of Shipping during the deliberations informed that the DGLL had a record collection of ` 280 crore of light dues during 2016-17. All the Lighthouses were solarised first time. The other achievements are:
• Navigational Text Messaging System (NAVTEX) set up for safety of mariners and navigation;
• 8 Lighthouses identified for the development of tourism under PPP mode; and
• Initiated setting up of National Coastal Vessel Traffic System (NCVTS).
65. The Committee notes that the DGLL has undertaken various projects to establish six new light houses and 3 new lighted beacones at various parts of the country. The Committee also notes the projects to be undertaken during 2017-18. The Committee recommends that all these projects may be completed within the stipulated time-frame.
66. The Committee also notes the achievements for making all the Lighthouses during solarised for the first time and also identifying for development of 8 lighthouses for tourism purposes through PPP mode.
COCHIN SHIPYARD LIMITED
67. The Ministry of Shipping informed the Committee during deliberations that performance of Cochin Shipyard Limited continued to be good during the financial year 2015-16 despite the global downturn in the ship building industry. The turnover of the company grew by 7.33% from ` 1859.51 crore to ` 1995.89 crore during 2015-16. The projected turnover for 2016-17 is ` 2015.23 crore. The projected Profit after tax is ` 308.77 crore. 20
68. The performance of the Company for FY 2016-17 based on the unaudited figures is as follows:
(Rupees in crore)
Performance Parameters 2014-15 2015-16 2016-17 Projected upto Dec.'16 2016-17 Turnover 1859.51 1995.89 1537.41 2015.23 Profit Before Tax (PBT) 367.56 424.08 393.15 482.45 Profit After Tax (PAT) 235.06 275.03 249.61 308.77
69. The Secretary, Ministry of Shipping informed that the following are the key achievements of Cochin Shipyard Limited during 2016-17:
• New Dry Dock at a cost of ` 1799 crore sanctioned;
• International Ship Repair facility with ship-lift at a cost of ` 970 crore sanctioned; and
• Initiated the process of issue of IPO to raise ` 1000 to 1500 crore additional funds for the key infrastructure projects.
70. The Ministry of Shipping while replying to a query informed that the main problems before the Ship Building Industry are as under:-
(i) The growth outlook in Shipbuilding Industry worldwide has been dismal in recent years with the downtrend continuing in the past year as well. This has taken a toll on the Ship building sector in India with low order book positions leading to their inability to service the high debts.
(ii) Compared to shipbuilding counter parts in other Asian countries, the shipyards in India are low on sophistication. Yards need to automate and modernize as well. Shipyards are also low on Capacity in comparison to other yards in Asia. However, the yards are inhibited from going for massive capacity expansion, modernization and automation due to lack of availability of dedicated low cost funds to cater to the special needs of this sector. The present financing available are high on interest and does not suit the ship building industry's special requirements.
(iii) Shipbuilding and Ship repairs are specialized activities requiring different skill set and there is dearth of manpower with the required skill set.
(iv) Ship building in India is hampered by lack of special financing schemes in the financial market for ship owners.
(v) The Shipbuilding industry in India needs the support of the Government on the taxation front. Some of the issues are as under:-
(a) The capital expansion in shipbuilding is inhibited by imposition of customs duty on the import of Capital goods. The customs duty element adds to the cost of the capital projects as major part of the projects involve imports. 21
(b) The Ship building industry is taxed at the corporate income tax rate of 30%. The industry needs a lower rate of corporate tax so that it can have surplus internal accruals to finance its expansion plans in the absence availability of dedicated cheap funds.
(c) The shipping industry has been extended the tonnage tax provisions under income tax to make the shipping industry competitive. Similarly Ship building industry also requires a lower rate of income tax to make it more competitive.
71. The policy initiatives undertaken by the Government to revive the ship building industry are as under:-
A. Tax initiatives
(i) The Government has exempted the manufacture of ships completely from excise duty. The industry is subjected to nil rate of excise duty.
(ii) The indigenous procurement of goods for use in the manufacture of ships has been exempted completely from excise duty.
(iii) The indigenous procurement of goods for use in the repair of vessels/ships has been exempted completely from excise duty.
(iv) The Custom Duties on import of goods for use in the manufacture of ships has been exempted by the Government.
(v) The customs duty on import of goods including capital goods for use in repair of the vessels and ships has been completely exempted.
B. In addition to the above, the Government has taken the following measures also:
(i) Government has come out with a policy to grant financial support upto 20% on the contract price or the fair value of the ships to the Ship building industry over a period of ten years with a budgetary support of ` 4,000 crores. This has been initiative to especially counter cost disadvantages of the Indian Ship Industry.
(ii) The Government has also proposed to introduce the Right to First Refusal for Indian shipyards for government purchases.
(iii) Ship building and Ship repair industry has been granted the Infrastructure status by the Government. This should enable the industry to sources funds from the Indian and international market.
72. The Committee is happy to note that the Cochin Shipyard has been strong in financial performance during the current financial year. The Committee hopes that the targets will be attained at the end of the Financial Year. 22
73. The Committee notes that the Indian ship yards are less sophisticated and lacking world class standards of equipment and manpower. Similarly low cost loans are not easily available for expansion of the shipyard. The Committee recommends the following to support the ship building industry in the country:
(i) The Government of India should take necessary steps to upgrade the current technology used by the shipyards with the modern technology available in worldwide;
(ii) Periodic refreshment training of the existing employees may be conducted on regular basis to familiarize with the latest technology;
(iii) Low cost loans may be raised from the overseas markets; and
(iv) Tax incentives to the yards as well as subsidies to the buyers may be expanded to attract more buyers from Indian market.
74. The Committee has taken note of the fact that there are media reports which suggested privatization of various functions of Cochin Shipyard Ltd. The Committee enquired from the Secretary, Shipping about the Government policy in this regard. The Secretary, Shipping submitted to the Committee that Cochin Shipyard is one of the Navratna Companies and Government intention is to protect and promote Cochin Shipyard and any media report on such aspects is devoid of facts and contrary to the intentions of the Government of India.
75. The Committee has noted the assurances given by the Secretary, Shipping and recommends that the Cochin shipyard should not be privatized or disinvested as it is functioning well under the Government of India control.
SHIPPING CORPORATION OF INDIA LIMITED
76. The Ministry of Shipping informed the Committee that as on 01.02.2017, SCI fleet stands at 69 vessels of 5.85 million DWT and 3.26 million GT. The following table gives category-wise break-up of SCI's owned fleet:
Type of vessels No. G.T. D.W.T.
Container vessels 05 1,53,247.00 2,02,413.00 Bulk Carriers 16 6,03,808.00 10,68,088.00 Crude Oil carrier 16 10,99,279.00 20,17,192.00 Product Tanker 14 5,32,285.00 9,08,058.74 VLCC 05 8,12,551.00 15,90,809.00 LPG/Ammonia carriers 02 35,556.00 35,202.00 Passenger-cum-Cargo 01 9,700.00 5,140.00 Offshore Supply Vessel 10 22,958.00 23,502.38
TOTAL 69 32,69,384.00 58,50,405.12 23
77. During the year 2016-17, till date, SCI has acquired one second hand Multi-Purpose Support Vessel (MPSV) on 18.11.2016. Further, SCI has already signed MOA on 27.12.2016 for acquisition of one more resale offshore vessel. The vessel would be delivered to SCI only after the Sellers carry out all the extensive modifications as per the charterers (DRDO) requirements. Further, SCI is also in the process of acquisition of a secondhand Suezmax Tanker. SCI is presently discussing the MOA terms with the Sellers of the shortlisted vessel. Presently there are Nil orders placed for acquisition of vessels by SCI, with any of the shipyards.
78. The current fleet of SCI, as on 01.03.2016, stands at 69 vessels (constituting 3.29 million Gross Tonnage). The details are as under:
Liner Dry bulk Crude oil Product Gas Passenger- OSVs Total vessels carriers tankers tankers carriers cum-cargo vessels
Nos. 5 17 21 14 2 1 9 69
DWT 202413 1113889 3608001 908059 35202 5140 20150 5892854
79. The following table shows the financial performance of SCI during last three years:
(` in Crore)
Financial Position
2013-14 2014-15 2015-16 At the end of 30-09-2016
Total Income 4538.99 4587.60 4277.19 1588.30
Net Profit -274.66 200.93 377.29 35.91
80. The Committee notes the financial performance of SCI during the last three years. The Committee further notes that the SCI has now recovered from its losses and continuously making profit for the last three years. The Committee desired to know the reasons why the income has shown declining trend in the first half of the Financial Year 2016-17.
81. The Committee also notes the ongoing fleet acquisition plans of SCI. The Committee recommends that since the financial performances of the SCI has now improved to a certain extent, it may think about more vessel acquisitions in the near future if the International market conditions remain viable.
NATIONAL WATERWAYS
82. The Inland Waterways Authority of India is an autonomous organization created by an Act of Parliament viz., The Inland Waterways Authority of India Act, (85 of 1985) for the development of National Waterways in the country. 24
83. With the allocation of ` 296.30 crore during 2016-17, under the Grants to IWAI, the following schemes were under taken:-
(i) Fairway development of NW-1, NW-2, NW-3 which include survey, dredging, bandalling, navigational aids and O&M of floating and fixed terminals.
(ii) Activities for development of NW-4, viz. EIA and EMP studies; hydrodynamic and CRZ studies. With the cooperation of Government of Andhra Pradesh, Delineation and Hydrological studies have been carried out.
(iii) Developmental activities such as fairway development which includes dredging, bank protection, removal of obstructions etc. Hydrographic Surveys and Design and construction of terminal at Erada has been taken up on NW-5.
(iv) Under JMVP, expenditure incurred for Project Monitoring Unit for various consultancy studies viz., (a) detailed feasibility study and detailed engineering for ancillary works (b) Environmental and social impact assessment study (c) IWT sector development strategy and market development study and construction of multimodal terminals at Varanasi, Sahebganj and Haldia and navigational lock at Farakka, have been taken up.
(v) In NER, besides fairway development on NW-2, the following activities have also been undertaken.
(a) Construction of Ro-Ro vessels
(b) Construction of Cargo Vessels and Slipway at Pandu for repairs of IWT Vessels in the NE Region.
(vi) TEF/DPR/CEZ studies have also been commissioned on the newly declared NWs in NE Region.
84. The Secretary, Ministry of Shipping during deliberations of the Committee expressed gratitude to the Committee for its recommendations enable them to get a sanction of ` 1,000 crore worth of a bond for Inland Waterways from the Finance Ministry.
85. The Ministry of Shipping informed that with an allocation of ` 303 crores during 2017-18, IWAI is proposed to undertake fairway development and maintenance of National Waterways 1, 2, 3, 4, 5, 16 (River Barak), 37 (River Gandak) and 40 (River Ghagra) at an estimated cost of ` 228.00 crore The remaining amount is required for administrative and other regular maintenance expenses.
86. The construction of multi-modal terminals at Varanasi, Sahebganj and Haldia, new navigational lock at Farakka and development of the viable newly declared national waterways is proposed to be undertaken through funds being raised by IWAI through bonds as Extra Budgetary Resources and loan from World Bank for the Jal Marg Vikas Project (JMVP) on NW-1. 25
87. The Committee notes that the IWAI is proposed to undertake fairway development and maintenance of 8 National Ways with an allocation of ` 303 crore during 2017-18. The Committee also notes that permission has been granted by the Ministry of Shipping to raise ` 1000 crore through bonds as Extra Budgetary Resources and loan from World Bank. The Committee may be appraised about the details of funds to be raised through bonds, IEBR and loan from World Bank.
88. Details of cargo handled during the last three years in the IWT mode are as under (in Million Metric Tonnes):
Sl. No. National 2013-14 2014-15 2015-16 2016-17 * up Waterways to Jan-2017
1. NW-1 3.35 5.05 6.24 2.50
2. NW-2 2.48 0.52 0.60 0.50
3. NW-3 1.07 0.97 1.06 0.93
4. Maharashtra 10.18 22.54 28.85 22.58
5. Goa 1.00 0.98 4.54 11.10
89. As regards the development of 106 new National Waterways in the country, the Ministry informed the Committee that the 106 NWs are classified into the following categories:
(i) Development of 8 NWs in Phase-I has been initiated. Fairway development works in river Barak has been awarded.
(ii) Based on the outcome of Stage-I feasibility reports of 46 NWs, preparation of DPRs for 12 most viable NWs have been awarded by IWAI.
90. The above NWs are proposed to be developed during 2017-18.
(iii) The preparation of DPRs for 12 viable NWs have also been awarded by IWAI for taking up development works during 2018-19:
(i) 52 NWs - Field survey in 44 NWs have been completed and are in progress in 4 NWs. Security clearance of 4 NWs is awaited. Draft feasibility study reports of 36 NWs have been received. Based on the outcome of feasibility studies, further studies like TEF/DPR will be taken up subsequently.
(ii) 19 NWs have not been found technically viable.
91. Cargo movement through Inland Waterways is the most economical and environment friendly mode of transport. The Committee notes that the growth of cargo movement through the IWT mode has not picked up the required momentum. The Committee recommends that all the basic infrastructure requirements such as navigation channel with sufficient depth and width, day and 26 night navigational aids, terminals for berthing of vessel and equipments for loading and unloading of cargo, etc. should be provided in all the operational waterways for smooth cargo handling. The Committee also recommends that incentives should be given to those goods carried by waterway mode.
92. The Committee recommends that cargo movement through the water mode need to be entertained in all the viable stretches so that the development of national waterways may get a tremendous boost.
93. The Committee notes that the pace of progress of works in the various National Waterways development are not up to the mark. The Committee recommends that the IWAI should pursue getting various environment clearances from the concerned authorities so that the proposed works may go on smoothly.
94. The Committee notes that the initial studies and preparation of DPRs of 92 most viable National Waterways have been initiated during the Financial Year 2017-18. The Committee recommends that necessary funds as required in every stage may be sanctioned to IWAI for carrying out the projects work in a vigorous way.
PROMOTION OF CRUISE SHIPPING
95. The Secretary, Ministry of Shipping informed that they have given high priority to promote cruise tourism in close association with Ministry of Tourism due to high employment potential. The Major Ports will provide the following incentives to cruise ships:
• A minimum rebate of 30% on port charges
• Cabotage relaxation extended till 2024.
96. The Ministry has further informed that standardized operating procedures (SOPs) for handling cruise vessels have been operationalized in ports. The Mumbai Port is proposed to develop new cruise terminal. The Ministry has a plan for developing 5 cruise circuits for international, domestic and river cruises by May, 2017.
97. The Committee notes that some Major Ports have started giving incentives to cruise ships visiting their Ports. The Committee recommends that apart from incentives, the ports may develop good passenger amenities at the ports and also good passenger relations.
98. The Committee also recommends that river cruise tourism may be popularized so that waterways tourism may generate more income. The Ministry of Shipping should coordinate with Ministry of Tourism in their domestic campaign so that the river cruise tourism may get a boost in the coming years.
GENERAL RECOMMENDATIONS
99. The Committee would like to point out that as per the latest economic survey, India's internal trade has a much higher dimension than its international trade. The Committee therefore 27 desires that there should be a holistic coordinated approach needed for handling of trade within the country as well as towards openings to the external trade. The Committee therefore recommends that the Government should adopt a strategy for seamless flow of traffic especially through the National and coastal waterways.
100. The Committee also recommends that the Government would formulate a coordinated policy for container size, dimensions and such aspects related to container traffic.
101. The Committee expressed its apprehension on the issue that the entire container trade is being controlled by overseas MNCs resulting in high operational costs to India's internal trade. The Committee observes that transportation in a subcontinent like India has to be essentially based on the multimodal system. The Committee recommends that a high powered inter-ministerial group may be constituted to take policy decisions on internal trade and a high powered regulator for managing the entire area of logistics of container.
102. The Committee also recommends that on the lines of the container corporation of India, a coordinated and integrated system for handling goods for Railways, Highways, Coastal Shipping Inland waterways etc. may be worked out.
103. The Committee notes that a lot of pollutants are dumped into the seas and waterways by the vessels in the form of sewages, oil leakages etc. The Committee recommends that Ministry of shipping may take up the matter under the Swachh Bharat Abhiyan seriously and necessary control measures may be put in place to prevent pollution. 28
RECOMMENDATIONS/OBSERVATIONS —AT A GLANCE
ANALYSIS OF TWELFTH PLAN ALLOCATIONS
The Committee notes from the details given by the Ministry of Shipping that the GBS got reduced at the RE stage in the five annual plans. However, the percentage of reduction was less during 2016-17 compared to the previous years. (Para 6)
The Committee observes that the Twelfth Five Year Plan outlay for the Ministry of Shipping development in the country was ` 6960 crore as GBS and ` 18946.18 crore as IEBR. Out of it, the major chunk of allocation (GBS) of ` 3902.53 crore was for development of shipping sector and ` 3057.47 crore for the Ports Sector. From the data provided by the Ministry of Shipping, the total allocations made all these five years was only ` 2306 crore out of which the spending up to 31st January, 2017 is ` 2241.68 crore. The Committee is very disappointed to note that the actual allocation made to Ministry of Shipping is only 32.20% of the outlay (GBS) decided by the Planning Commission. The Committee recommends that the Ministry of Shipping should give due care in utilizing the allocations promptly by completing the targeted projects within the stipulated time. (Para 7)
The Committee desires to know the comparison of the targets fixed by the erstwhile Planning Commission during Twelfth plan period for the Ministry of Shipping and the achievements of the targets made by the Ministry at the end of the Twelfth Plan period. The year-wise details and the percentage of achievement, etc. of each of the targets set in the Port and Shipping Sectors may be provided at the time of submission of the Action Taken Replies to this Report. (Para 8)
The Committee notes the major achievements made by the Ministry of Shipping during 2016-17. There was a slight cut in both Plan and Non-plan allocations during 2016-17 and the Ports got enhanced allocation during RE 2016-17. The Committee also notes that Port Sector is the only sector which got an enhanced allocation at RE stage. Allocations to all other schemes were reduced at RE Stage. However, the percentage of spending on 03.02.2017 is only 54.49% of the RE amount of ` 165.12 crore in the Port projects. The Committee desires to know the reasons why the port sector could not utilize the enhanced amount during 2016-17. (Para 12)
The Committee is happy to note that shipping and ship building schemes have spent 92.77% of their allocations. The Lighthouses and Inland Water Transport schemes also have spent a greater portion of their allocations during 2016-17. The Committee recommends that Ministry of Shipping should take a feed back on the reason why certain schemes could not utilize allocated fund and should take necessary corrective measures during the next financial year onwards. (Para 13)
The Committee notes that certain projects could not achieve required physical targets during 2016-17 due to various reasons. As regards the construction of flyover in front of ICTT 29 the Committee recommends that the Ministry of Shipping should pursue the matter with the Ministry of Railways to get the necessary clearances at the earliest. As in the case of National Waterway-4 the Government of Andhra Pradesh may be approached for getting the assessment of land requirements and modification of cross structures. The Committee notes that in the case 7 NW-5 and Jal Marg Vikas, the land questions and the necessary clearances should be obtained before commencement of the projects. The IWAI should take up the matter regularly with the concerned Ministry/Departments to get the clearances without delay. (Para 15)
The Committee feels that the Ministry of Shipping did not took the necessary ground works before listing the projects and making allocation for them. As a result thereof, the projects are struggling at initial stages itself due to want of required clearances. The Committee recommends that allocation should be made to all projects after getting necessary basic clearances for commencement of the projects. (Para 16)
ANNUAL PLAN 2017-18
The Committee notes that Ministry of Shipping got an allocation (GBS) of ` 1773.00 crore during 2017-18. However, the projected demands of the Ministry was ` 4428.01 crore. According to the Ministry a large number of projects could not be undertaken as sufficient funds are not received for carrying out the works. It can be seen that for some of the projects at Chennai Port and Mormugao Port even 10% of the demand was not met. The Ministry asked for ` 515.01 crore for starting up the work for Sagar Port, ` one lakh was allocated. (Para 21)
The Committee also notes that the total demand for various ports projects was ` 1512.76 crore but the allocation is only ` 139.24 in the revenue head. For Shipping and shipbuilding, the demand was ` 527.00 crore and the allocation is a mere ` 12.00 crore. However the IWAI has somehow managed to get comparatively better allocation this year. The Committee recommends that more allocation may be made to Ministry of Shipping for carrying out their various projects proposed to undertake in the financial year 2017-18. The Ministry of Finance may be approached for getting enhanced allocation at RE stage. (Para 22)
The Committee recommends that in order to fast-track the works related to Sagarmala, coastal shipping, IWT and ALHW, additional budgetary allocation may be provided to Ministry of Shipping during 2017-18. (Para 23)
PORT SECTOR
The Committee notes that the allocation made to Port Sector is highly insufficient to meet the committed liability of the various ports during 2017-18. In the case of VoCPT, the capital dredging work has already completed and they should release the balance amount of ` 120.06 crore for which the allocation made is only ` 15.00 crore. In the case of Chennai Port, their coastal road protection work is completed by 80% and the payment is in midway. They also need 33 crores for completing the work. The Cochin Port has two projects to be carried out which need 30
52 crore, but the allocation is only 10 crore. The activities under Swachh Bharat Abhiyan got nil allocation this time. The Committee strongly recommends that the Ministry of Finance may take a review of the situation after the completion of first quarter of Financial Year 2017-18 and additional allocation may be made as per their requirement thereafter. (Para 28)
PORT EFFICIENCY AND PRODUCTIVITY
The Committee notes that the port capacity has been enhanced during 2016-17 and the total capacity among the Major Ports is 1049.45 MTPA at the end of the last plan year. There is a considerable increase of capacity during the Twelfth Plan period. During the period a total of 352.92 MT has increased. The Committee is optimistic that the port capacity will further increase in the next plan period to accommodate the growth in EXIM trade of India. (Para 35)
However, the Committee with a little dismay, has noticed that the cargo growth is not up to the mark as per the figures given in the beginning of the Twelfth Plan period. The Committee notes that the growth of cargo traffic by Major Ports are not commensurating with the port capacity additions. The Committee also notes that nine ports registered positive growth while four ports have been in the red. The Committee recommends that all efforts should be explored to keep the cargo growth in all the ports throughout the year. The ports who have registered negative growth during 2016-17 should workout effective plans to reverse the situation. (Para 36)
The Committee notes that the Major Ports in Eastern Peninsula are struggling to make profits and its viability is in question. The coastal shipping is also not being improved at optimal level according to the potential of the country. The Committee observes that the viability of the Major Ports in the Eastern Peninsula can be improved by coastal shipping by providing the facility of Sethusamudram canal. (Para 37)
DREDGING
The Committee is happy to note that except for one or two Major Ports, all the others have maintained 14M draft and they are going further ahead to achieve 18M depth. The Committee is optimist that in the coming years these ports could accommodate larger vessels in the berths and thereby increase their cargo throughput. (Para 40)
The Committee notes that the capital dredging work of the Mormugao Port has been stalled due to withdrawal of the Environmental clearance given to the projects. The Committee desires to know the decision of the Goa State Pollution Control Board on the matter when it is available. The Committee recommends that the Ministry of Shipping may pursue the matter with the concerned authorities. (Para 41)
The Committee notes that since the Kolkata Port being a riverine port, it requires frequent maintenance dredging to keep the desired depth of the draft. The Committee recommends that required budgetary sanctions may be given to Kolkata Port to meet the requirements. (Para 42) 31
CONNECTIVITY TO MAJOR PORTS
The Committee notes that 42 road connectivity projects have been undertaken to link all the major ports in the country. The Committee recommends that required financial sanction may be made for timely completion of these projects. The Committee also recommends that more projects which are not yet received environmental clearance may pursue the matter with the Ministry of Environment and Forest. (Para 46)
SAGARMALA
The Committee notes that the Ministry of Shipping has ambitious future plans for carrying out port development work under Sagarmala Project. The Committee also notes that Sagarmala Development Company Ltd. has been incorporated with an initial authorized capital of ` 1000 crore for monitoring the projects. The Committee desires to know the source of funds with the Ministry to achieve this ambitious target. (Para 52)
The Committee also note that there are 199 focus projects targeted to be completed under Sagarmala in the next three financial years with an actual cost of ` 333,534 crore. The Committee desires to know the details of financial plans with the Ministry of Shipping to generate that much resource within three years to meet the required fund for completion of the projects. The Committee recommends that financial grants may be provided to projects under Sagarmala as per the requirement. (Para 53)
The Committee feels that if the projects under Sagarmala are completed as planned by the Ministry, it will not only boost the economic activities but also create employment opportunities in the country to the greatest extent. (Para 54)
SHIPPING SECTOR
The Committee notes that during 2016-17 out of the GBS allocation of ` 45.34 crore at RE 2016-17 the Ministry of Shipping has spent ` 42.05 crore so far. Since two more months are there in the financial year, the Committee hopes that they would be able to spend the entire allocation. (Para 57)
The Committee notes from Annexure-I, the Ship Building Sector has sought ` 527 crore allocation during 2017-18 however, the actual allocation received is just ` 12.00 crore. The Committee feels that this is highly insufficient. The Committee recommends that sufficient funds may be allocated to Ship Building Sector. (Para 58)
The Committee notes the various initiatives taken by the Ministry of Shipping has taken to improve the Shipping and Ship-building Sector of the country. (Para 60)
DIRECTORATE GENERAL OF LIGHTHOUSES AND LIGHT SHIPS
The Committee notes that the DGLL has undertaken various projects to establish six new light houses and 3 new lighted beacones at various parts of the country. The Committee also 32 notes the projects to be undertaken during 2017-18. The Committee recommends that all these projects may be completed within the stipulated time-frame. (Para 65)
The Committee also notes the achievements for making all the Lighthouses during solarised for the first time and also identifying for development of 8 lighthouses for tourism purposes through PPP mode. (Para 66)
COCHIN SHIPYARD LIMITED
The Committee is happy to note that the Cochin Shipyard has been strong in financial performance during the current financial year. The Committee hopes that the targets will be attained at the end of the Financial Year. (Para 72)
The Committee notes that the Indian ship yards are less sophisticated and lacking world class standards of equipment and manpower. Similarly low cost loans are not easily available for expansion of the shipyard. The Committee recommends the following to support the ship building industry in the country:
(i) The Government of India should take necessary steps to upgrade the current technology used by the shipyards with the modern technology available in worldwide;
(ii) Periodic refreshment training of the existing employees may be conducted on regular basis to familiarize with the latest technology;
(iii) Low cost loans may be raised from the overseas markets; and
(iv) Tax incentives to the yards as well as subsidies to the buyers may be expanded to attract more buyers from Indian market. (Para 73)
The Committee has noted the assurances given by the Secretary, Shipping and recommends that the Cochin shipyard should not be privatized or disinvested as it is functioning well under the Government of India control. (Para 75)
SHIPPING CORPORATION OF INDIA LIMITED
The Committee notes the financial performance of SCI during the last three years. The Committee further notes that the SCI has now recovered from its losses and continuously making profit for the last three years. The Committee desired to know the reasons why the income has shown declining trend in the first half of the Financial Year 2016-17. (Para 80)
The Committee also notes the ongoing fleet acquisition plans of SCI. The Committee recommends that since the financial performances of the SCI has now improved to a certain extent, it may think about more vessel acquisitions in the near future if the International market conditions remain viable. (Para 81) 33
NATIONAL WATERWAYS
The Committee notes that the IWAI is proposed to undertake fairway development and maintenance of 8 National Ways with an allocation of ` 303 crore during 2017-18. The Committee also notes that permission has been granted by the Ministry of Shipping to raise ` 1000 crore through bonds as Extra Budgetary Resources and loan from World Bank. The Committee may be appraised about the details of funds to be raised through bonds, IEBR and loan from World Bank. (Para 87)
Cargo movement through Inland Waterways is the most economical and environment friendly mode of transport. The Committee notes that the growth of cargo movement through the IWT mode has not picked up the required momentum. The Committee recommends that all the basic infrastructure requirements such as navigation channel with sufficient depth and width, day and night navigational aids, terminals for berthing of vessel and equipments for loading and unloading of cargo, etc. should be provided in all the operational waterways for smooth cargo handling. The Committee also recommends that incentives should be given to those goods carried by waterway mode. (Para 91)
The Committee recommends that cargo movement through the water mode need to be entertained in all the viable stretches so that the development of national waterways may get a tremendous boost. (Para 92)
The Committee notes that the pace of progress of works in the various National Waterways development are not up to the mark. The Committee recommends that the IWAI should pursue getting various environment clearances from the concerned authorities so that the proposed works may go on smoothly. (Para 93)
The Committee notes that the initial studies and preparation of DPRs of 92 most viable National Waterways have been initiated during the Financial Year 2017-18. The Committee recommends that necessary funds as required in every stage may be sanctioned to IWAI for carrying out the projects work in a vigorous way. (Para 94)
PROMOTION OF CRUISE SHIPPING
The Committee notes that some Major Ports have started giving incentives to cruise ships visiting their Ports. The Committee recommends that apart from incentives, the ports may develop good passenger amenities at the ports and also good passenger relations. (Para 97)
The Committee also recommends that river cruise tourism may be popularized so that waterways tourism may generate more income. The Ministry of Shipping should coordinate with Ministry of Tourism in their domestic campaign so that the river cruise tourism may get a boost in the coming years. (Para 98) 34
GENERAL RECOMMENDATIONS
The Committee would like to point out that as per the latest economic survey, India's internal trade has a much higher dimension than its international trade. The Committee therefore desires that there should be a holistic coordinated approach needed for handling of trade within the country as well as towards openings to the external trade. The Committee therefore recommends that the Government should adopt a strategy for seamless flow of traffic especially through the National and coastal waterways. (Para 99)
The Committee also recommends that the Government would formulate a coordinated policy for container size, dimensions and such aspects related to container traffic. (Para 100)
The Committee expressed its apprehension on the issue that the entire container trade is being controlled by overseas MNCs resulting in high operational costs to India's internal trade. The Committee observes that transportation in a subcontinent like India has to be essentially based on the multimodal system. The Committee recommends that a high powered inter-ministerial group may be constituted to take policy decisions on internal trade and a high powered regulator for managing the entire area of logistics of container. (Para 101)
The Committee also recommends that on the lines of the container corporation of India, a coordinated and integrated system for handling goods for Railways, Highways, Coastal Shipping Inland waterways etc. may be worked out. (Para 102)
The Committee notes that a lot of pollutants are dumped into the seas and waterways by the vessels in the form of sewages, oil leakages etc. The Committee recommends that Ministry of shipping may take up the matter under the Swachh Bharat Abhiyan seriously and necessary control measures may be put in place to prevent pollution. (Para 103) 35
MINUTES
X
TENTH MEETING
PART-I
The Committee met at 11.30 A.M. on Thursday, the 23rd February, 2017 in Committee Room A, Ground Floor, Parliament House Annexe, New Delhi to examine the Demands for Grants (2017-18) of the Ministry of Shipping.
MEMBERS PRESENT
1. Shri Mukul Roy — Chairman
RAJYA SABHA
2. Shri Rangasayee Ramakrishna
3. Kumari Selja
4. Shri Narendra Kumar Swain
5. Shri Lal Sinh Vadodia
LOK SABHA
6. Shri Vinod Chavda
7. Kumari Arpita Ghosh
8. Shri Rahul Kaswan
9. Shri P. Kumar
10. Shri Harish Chandra Meena
11. Shri Kristappa Nimmala
12. Shri Ram Kumar Sharma
13. Shri Dushyant Singh
14. Shri Kunwar Haribansh Singh
15. Shri Rakesh Singh
16. Shri Shatrughan Sinha
17. Shri Manoj Tiwari
18. Shri K. C. Venugopal
37 38
SECRETARIAT
Shri J. G. Negi, Joint Secretary
Shri Swarabji B., Director
Shri Arun Kumar, Assistant Director
Shrimati Catherine John L., Assistant Director
Shri P. P. Raumon, Committee Officer
Ministry of Shipping
1. Shri Rajive Kumar, Secretary
2. Dr. Pradeep Kumar, JS & FA
3. Shri Barun Mitra, Joint Secretary (Ports)
4. Shri Pravir Krishn, Joint Secretary (Shipping & Parliament)
5. Shri Rabindra Agarwal, Joint Secretary (Sagarmala)
6. Shri Rajat Sachar, Adviser (Economics)
7. Ms. Vibha Pandey, Pr. CCA
8. Shri B. Krishnamoorthy, Director (Finance)
9. Shri A. K. Saran, Director
10. Shri Arvind Chaudhary, Director
Inland Waterways Authority of India
1. Shri Amitabh Verma, Chairman
2. Shri Pravir Pandey, Vice Chairman
Visakhapatnam Port Trust and I/C Kokata Port Trust
Shri M. T. Krishna Babu, Chairman
Mumbai Port Trust
Shri Sanjay Bhatia, Chairman
Chennai Port Trust
Shri P. Raveendran, Chairman
New Mangalore Port Trust
Shri P.C. Parida, Chairman
Paradip Port Trust
Shri Rinkesh Roy, Chairman 39
V.O. Chidambarnar Port (TPT) Shri S. A. C. Bose, Chairman Chcoin Port Trust Shri A. V. Ramana, I/c Chairman Kandla Port Trust Shri Alok Singh, Deputy Chairman Kamarajar Port Ltd. Shri M. A. Bhaskarachar, CMD Mormugao Port Trust 1. Shri I. Jayakumar, Chairman 2. Shri Vinayaka V. Rao, FA & CAO Jawaharlal Nehru Port Trust Shri Anil Diggikar, Chairman Indian Port Association Shri A. Janardhana Rao, MD Indian Port Rail Corporation Ltd. Shri Anoop Agarwal, MD Shipping Corporation of India 1. Shri Anoop Kumar Sharma, CMD 2. Capt. Yogesh Puri, RGM Dredging Corporation of India Shri Rajesh Tripathi, CMD Cochin Shipyard Ltd. Shri Madhu S. Nair, CMD Central Inland Water Transport Corporation and Hooghly Dock & Port Engineer Ltd. Shri S. Balaji Arun Kumar, CMD Indian Maritime University Shri K. Ashok Vardhan Shetty, Vice Chancellor Director General Shipping 1. Dr. Malini V. Shankar, DG 2. Shri Vatsalya Saxena, Deputy Director General 40
Directorate of Light Houses and Light Ships 1. Shri J.S. Chauhan, Director General 2. Shri S.S. Yadavm, Dy. Director General Andaman and Lakshadweep Harbuor Work
Shri Sunil Madhubavi, Chief Engineer-cum-Administrator
2. At the outset, the Chairman welcomed the Members of the Committee, the Secretary and other officials of the Ministry of Shipping and its subordinate organizations. The Chair asked the Secretary to make a presentation on the Budget allocations, expenditure, achievements, non-utilization of funds, the adequacy of budgetary provisions made to each head etc. The Committee wanted to know about the areas where the Ministry failed to fully utilize the funds, the details of fund allocations to the port sector, shipping sector, capacity addition of ports, issues related to Shipping Corporation of India, Dredging Corporation of India, Cochin Shipyard Limited, IWAI, development of Inland Waterways, steps taken to boost the ship building industry, etc.
3. The Secretary gave an overview on the budget allocation made for the Ministry during 2017-18 and the achievements made during the previous year. The Secretary also apprised about the new initiatives taken in the Port and Shipping Sectors, performance of the Ministry during Twelfth Plan period and salient features of the Annual Plan 2017-18 and the short fall in allocations compared to their actual demand this year. He briefed the Committee about the reasons for under utilization of funds during 2016- 17; key achievements made during the Twelfth Plan period; policy initiatives of the Ministry during 2016- 17, issues related to the major ports and other organizations under the Ministry; their future plans; the projects to be envisaged under the Sagarmala Programme, road projects to connect Ports, etc.
4. The Secretary apprised the Committee about the future activities related to development of 106 National Waterways and the additional fund requirement for the works related to it. The Secretary also explained other initiatives by the Ministry in the fields of issues related to shipping and ship building sector, pollution control measures in the Ports, promotion of cruise tourism, development of National Waterways, Directorate of Lighthouses etc.
5. The Members of the Committee highlighted that the growth of the private sector ports is in a better place compared to that of the major ports. The members also pointed out that a coordinated system is required to boost up the cargo transport through the IWT mode.
6. Members of the Committee also raised various queries. The Secretary replied to the points raised. The Chair directed that written replies to the points which were unanswered may be sent within a week.
7. The meeting adjourned at 1.22 P.M. to meet again at 2.00 P.M. 41
XII TWELFTH MEETING
The Committee met at 4.30 P.M. on Thursday, the 9th March, 2017 in Committee Room A, Ground Floor, Parliament House Annexe, New Delhi.
MEMBERS PRESENT
1. Shri Mukul Roy — Chairman
RAJYA SABHA
2. Dr. Prabhakar Kore
3. Shri Rangasayee Ramakrishna
4. Kumari Selja
5. Shri Rajeev Shukla
6. Shri Lal Sinh Vadodia
LOK SABHA
7. Shri Vinod Chavda
8. Shri Rahul Kaswan
9. Shri Harish Chandra Meena
10. Shri Dushyant Singh
11. Shri Kunwar Haribansh Singh
12. Shri Shatrughan Sinha
13. Shri Manoj Tiwari
14. Shri K. C. Venugopal
SECRETARIAT
Shri J. G. Negi, Joint Secretary
Shri Swarabji B., Director
Shri Arun Kumar, Assistant Director
Shrimati Catherine John L., Assistant Director
Shri P. P. Raumon, Committee Officer
41 42
2. The Chairman of the Committee welcomed the Members to the meeting. Thereafter, the Committee took up the following draft Reports for consideration and adoption:
(i) Two Hundred Forty Fourth Report on Demands for Grants (2017-18) of the Ministry of Civil Aviation;
(ii) Two Hundred Forty Fifth Report on Demands for Grants (2017-18) of the Ministry of Culture;
(iii) Two Hundred Forty Sixth Report on Demands for Grants (2017-18) of the Ministry of Road Transport and Highways;
(iv) Two Hundred Forty Seventh Report on Demands for Grants (2017-18) of the Ministry of Shipping; and
(v) Two Hundred Forty Eighth Report on Demands for Grants (2017-18) of the Ministry of Tourism.
4. After some discussion, the Committee adopted the Reports with some minor changes. The Committee decided to present/lay these Reports to both the Houses of Parliament on 17th March, 2017.
5. The Committee, accordingly, authorized the Chairman and in his absence, Shri Rangasayee Ramakrishna, M.P. and in his absence Kumari Selja, M.P. to present the Reports in Rajya Sabha. Shri K. C. Venugopal, M.P. and in his absence Kumari Arpita Ghosh, M.P. was authorized to lay the above mentioned Reports on the Table in Lok Sabha on 17th March, 2017.
16. A verbatim record of the proceedings was kept.
17. The meeting adjourned at 5.35 P.M. 43
ANNEXURES
ANNEXURE -I
Scheme-wise Projected Demand and Actual Allocation for 2017-18
MINISTRY OF SHIPPING
(` in crore)
Sl. No. Name of BE 2017-18 Final BE 17-18 Remarks / Scheme (Proposed) given by MoF Justification
Revenue Capital Revenue Capital
1 2 3 4 5 6 7 8 9
1. Secretariat Secretariat-Economic 75.03 75.03 This is for salary services and administrative expenses of Ministry
2. Development 1 Project of Cochin Port 52.61 10.00 `36.61 is for rail of Ports Trust connectivity to ICTT at Vallarpadm and `16 crore for construction of subway.
2 Project of VOC Port 120.07 15.00 `120.07 crore is to be paid Trust as balance of GBS towards capital dredging work.
3 Project of Chennai Port 557.09 10.00 Balance towards coastal Trust protection work and ` 39.5 crore is for the project relating sand trap dredging.`484.59 crorefor projects for last supersession measures and Green Port Initiatives, Mitigation of traffic congestion to reduce pollution level.
4 Project of Mormugao 175.00 10.00 `75 crore for construction Port Trust of port connectivity four lane road `100 crore as GBS since port is in financial crisis on account of ban on iron ore mining.
5 Assistance to Other 515.01 0.01 As per recommendationof Major Ports (New EFC, `515crore is required for Projects) starting up the work of Sagar Port.
45 46
1 2 3 4 5 6 7 8 9
6 Development of Minor 64.23 97.45 64.23 96.65 Additionality in RE Ports (ALHW) requirement is for construction of additional approach jetty, Extension of berthing jetty at Neil Island; Extension of wharf by 60 Mtr at Hope Town in South Andaman; Extension of Dry Dock-II in Marine Dockyard at Port Blair; Development of Sea Route to Baratang Island in A&N Island; Acquisition of 2 Nos. Tug.
Recoveries -2.50 -2.50
Swachhta Action Plan 8.00
7 Oil Pollution, Coastal 28.75 22.00 For Reimbursement for Shipping Berths, R&D combating oil pollution and mitigating measures `20 crore is required.
Total Development of 1512.76 94.95 139.24 94.15 Ports
3. Sagarmala 1 Sagarmala Development 1076.69 350.00 As per Cabinet's approval, Company `100 crore for Community 2 Sagarmamala Schemes Development Fund, `250 and projects 250.00 crore for Sagar Development Company, `200 crore for Coastal berth scheme which has been merged with Sagarmala, `200 crore for innovative project liability, `25 crore for hiring of PMC for Sagarmala progra mme. `500 crore for development of basic infrastructure in Coastal Economic Units.
Total Sagarmala 1076.69 0.00 350.00 250.00
4 Shipping and 1 Assistance to Ship 2.00 2.00 Grants-in-aid for research and ship building building, R&D development schemes for ship building
2 Assistance to Non- 525.00 10.00 19 vessels are expected to be Central PSEShipyards delivered by Indian shipyards and for meeting this subsidy to the tune of `500 crore 47
1 2 3 4 5 6 7 8 9
required subject to the approval of Cabinet during 2017-18.
Total Ship Building 527.00 0.00 12.00 0.00
5. Other Central 1 Directorate General of 143.61 20.46 113.41 30.00 `18 crore for procurement and Sector Schemes Shipping development of e-governance project, `64 crore towards Emergency Towing Vessels, Long Range Identification and Tracking System and various professional services expenses.
2 Directorate General of 280.00 354.00 280.00 54.00 Develop light houses and Light Houses and Light improve existing (They meet Ships their expenditure from their own receipts and matched with recoveries)
Less receipts/recoveries -280.00 -354.0 0 -280.00 -54.00
3 Tariff Authority of 10.16 10.16 Grants for the establishment Major Ports of Tariff Authority for Major Ports
4 Indian Maritime 155.05 125.00 As the bulk of plan is likely University to be incurred in the second and third year of SFC period, and tenders for civil works were awarded and are at various stages of completion, additionality is required.
5 Hoogly Dock and Port 33.00 0.01 21.00 Ways and Means Loan Engineers Ltd. towards working capital requirement, grant-in-aid for payment of Income Tax and for improved voluntary retirement scheme
6 Sethusamudaram Corpn. 11.74 0.01 Ltd., RRM, EDI
7 Assistance to KoPT 264.00 192.00 10.00 Kolkata Port is being provided subsidy for the maintenance dredging as per cabinet decision. BE 2016-17 is underconsideration for which the matter is being taken up with Cabinet. 48
1 2 3 4 5 6 7 8 9
Total Other Central 605.82 32.21 461.57 40.01 Sector Schemes
5 Inland Water 1 Grants to Water 455.55 303.00 For fairway development, Transport & Transport Authority navigation aids, land Aid to of India acquisition, construction of Bangladesh multimodel terminals etc in respect of NW-I, Jal Marg Vikasproject, NW-3, NW-4, NW-5and Central Schemes for North East States.
2 Aid to Bangladesh 48.00 48.00 Meeting expenditure for meeting expenditure arising out of transit and trade agreement with Bangladesh Government
Total IWAI and Aid 503.55 0.00 351.00 0.00 to Bangladesh
Total Demand 4428.01 1773.00 49
ANNEXURE-II
Dredging activities undertaken by major ports during 2016-17
Sl. Port Type of Expenditure Remarks No. Dredging (` in crores)
12 3 4 5
1 Cochin Maintenance 10.60* *Including LNG basin and upto 31.12.2016. dredging
2 Chennai Capital 12.21 The work of deepening of Eastern side of dredging. (during the Dr. Ambedkar Dock Basin including year upto alongside berths of Second Container 31.01.2017) Terminal, Jawahar Dock basin, Berths and 20.43 maintenance dredging at entrance channel (Excl. ST) (estimated cost `49.70 Cr.) completed in May, 2016.
Maintenance 9.04 (upto Maintenance dredging carried out within the dredging Dec., 2016) Port limit to achieve the desire depth as per Hydrological Survey report with TSHD Cauvery (Port Dredger).
3 Kandla Capital 0.24 dredging
Maintenance 90.18 dredging
4 Jawahar Lal Maintenance 61.79 Port has awarded the contract for post Nehru Dredging (est. cost) monsoon Maintenance dredging of Mumbai harbour& JN Port Channel at the cost of ` 61.79 Cr. for the period of 4 months and will be completed in April, 2017.
5 New Maintenance 31.70 Mangalore dredging
Capital 12.77 dredging
6 Mormugao Capital dredging 26.20 Mormugao Port has taken up the work "Capital dredging of the approach channel, turning circle, 50
1 2 3 4 5
Maintenance 10.29 berths 5,6&7 and approaches for capesize dredging vessels" in the year 2015-16. The dredging cost is ` 193.50 Crores. Work was awarded to DCI in December' 2015. Based on a petition filed by Old Cross canoe Owners' Association and other Hon'ble NGT (WZ) vide order dated 02.09.2016 quashed the environmental clearance and reverted back MoEF for review stating that the exemption for public hearing given by MoEF is not legal. Complying with this order, port has applied for revival of EC with public Hearing. The public hearing is scheduled by the Goa State Pollution Control Board on 21.02.2017
7 Paradip Capital dredging 46.63 Capital dredging work has been taken up for creation basin for Deep Draught Iron ore, Coal and Multipurpose berth. The work is partially completed and the expenditure during the year upto 31.1.2017 is `46.63 Cr.
8 Kamarajar Capital dredging 274.86 Capital dredging phase-III to provide 16 mtr. (Ennore) depth at container terminal phase-1berth, Multi Cargo berth, Coal Berth-3&4 at the cost of ` 274.86 crore was awarded on 17.07.2015 and the dredging work is in progress and expected to be completed by April, 2017.So far an amount of ` 170.10 crore has been spent.
9 Kolkata Maintenance 267.34 Expenditure likely during the year ` 340.00 cr. dredging 51
ANNEXURE-III
List of Ongoing and Proposed Road Connectivity Projects Linking Major Ports
Sl. Project Name Port State Length Development Remarks No. (in Km) status
123456 7
1 RoB on Kandla- Kandla Gujarat 5 DPR prepared. DPR prepared by KutchRoad Tender Issued NHAI for Port.Tender issued for construction. Revised cost is ` 240 Crore.
2 JNPT - 6 to 8 JNPT Maharashtra 44 Under laning of NH-4B, Implementation SH-54 and Amra Marg
3 Flyover at Y JNPT Maharashtra 15 Under Junction for Implementation Decongestion of Traffic Flow at JNPT
4 6 laning of Pune- JNPT Maharashtra 145 Under under NHDP PH-V Satara section of Implementation NH 4 (145 km)
5 Expansion from JNPT Maharashtra 84 Under 2 lanes to 4 lanes Implementation of Panvel to Indapur section of NH 17 (Phase 3) - chainage 0.0 to 84.0km
6 Expressway - JNPT Maharashtra 150 From Pune-Mumbai Industrial Cluster expressway, NHAI/ (Pune) to JNPT SPV is widening it 6/8 lane to JNPT
51 52
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7 Expressway - JNPT Maharashtra 1000 4/6 lane NH - 9 from Sanathnagar JNPT to Solapur industrial cluster Completed. Solapur (Hyderabad) to to Sanjareddy is JNPT under implementation
8 Expressway: JNPT Maharashtra 600 Most of section is Additional Ahmedabad to 6 Laned expressway being JNPT developed by NHAI
9 Linking of NH-4 JNPT Maharashtra 20 Under NHAI has planned a & NH-8 by- implementation connectivity from passing Mumbra Vadodara to JNPT by passing Mumbra and connecting NH-4& NH-8. Land Acquisition is in progress.
10 Evacuation road JNPT Maharashtra 5 DPR Under tendering. for proposed prepared Environmental standalone clearance awaited. Container Terminal (330m extension to DPW terminal) at JNPT
11 Flyover for GTI JNPT Maharashtra 25 DPR prepared Under tendering by Entry/Exit Over JNPT the Rail Tracks at JNPT
12 6 laning for JNPT Maharashtra 20 Under Member(Technical) - NH-4 from implementation NHAI this project is Kalamvoli to being developed at Mumbra part of Mumbai - Highway.
13 6 lane road Mormugao/ Goa/ 150 4 lane highway 6 lane is to be taken from Hubli Belekeri Karnataka exist. up later, as per to Ankola traffic demand. 53
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14 Belagavi - Mormugao Karnataka 90 DPR is to be Bids are invited and Panjim prepared likely to be awarded (NH-4A) by 15th Jan 2017. Upgrading to 4 lane
15 Road circulation Mormugao Goa 3 DPR prepared plan for ease of movement of break bulk cargo at Mormugao
16 4 Laning of Mangalore Karnataka 140 Under Work shall start Shiradi Ghat Implementation shortly Road- Concretizing for smoothening of traffic road
17 NH-169- Mangalore Karnataka 35 DPR under conversion of preparation two lane roads into 4 lane from Mangalore to Mudabidri
18 Construction of Cochin Kerala 2 Under ROB -Cochin implementation
19 Road VoCPT Tamil Nadu 5 DPR to be DPR to be prepared Connectivity prepared by Port. to Hare island (Tuticorin Port)
20 Expressway: Chennai Tamil Nadu 350 4/6 lane highway Additional Whitefield complete expressway industrial cluster proposed by NHAI (Bangalore) to as well. Chennai
21 Development of Chennai Tamil Nadu 8 DPR to be prepared DPR to be prepared dedicated under Sagarmala 54
12 3 4 5 6 7
Container Corridor to NHAI road for quick evacuation, Chennai
22 Development of Chennai Tamil Nadu 10 Under 98% complete. Coastal road to implementation Being implemented the East of by State Government container Terminal II at Chennai Port (revetment)
23 Four lane road Ennore Tamil Nadu 21 Under State Government from Northern Implementation undertaking the gate of port to project. Two Stages: Thachur, outer i. Kamarajar Port ring corridor - 6 gate to Minjur. laning with ii. Minjur to service roads, Thachur. Land Northern port acquisition process access road. started.
24 Southern port Ennore Tamil Nadu 7 Under Port has asked for Access road for Implementation ` 40 Cr funding connectivity to under Sagarmala Ennore port
25 Improvement to Ennore Tamil Nadu - TEFR Under internal roads and Preparation gate complex in KPL -Ennore
26 Connectivity of Vizag Andhra 4.2 Under SPV executing under Vizag port to Pradesh Implementation Sagarmala. NH-16 (Phase II)
27 Development of Vizag Andhra 14 DPR completed The proposal for the adequate road Pradesh civil work already connectivity from submitted to MoRTH Vizag Port- for approval. 55
12 3 4 5 6 7
connectivity from Sheela Nagar junction to Anakapalli- Sabbavaram/Pendurti- Anandapuram road i.e. NH-16 (Former NH-5)
28 Construction of Vizag Andhra 0.9 DPR under Modified DPR to be grade separator Pradesh preparation completed by Dec from H-7 area to 2016. Port connectivity Road by passing Convent Junction- Vizag Port
29 Road Connectivity Vizag Andhra 5 DPR to be prepared DPR to beprepared From Outer Pradesh by Port. Harbour To Port Connectivity Junction (B) at Vizag port
30 Development of Vizag Andhra 3 DPR to be prepared Long term Project. Fly over bridge Pradesh from Sea-horses junction area to dock area at Vizag Port
31 Six laning of Paradip Odisha 77 4 lane highway 6 lane is to be taken Paradip exist. up later, as per Chandikhole road traffic demand.
32 Improvement of KoPT West Bengal 6 DPR prepared. DPR is prepared by existing road Tender issued. Port. Tender issued. connecting Kolkata Funding provided Port Trust to NH6 under Sagarmala for and Kolkata Port the project. Trust to nearby Industrial Clusters 56
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33 Construction of KoPT West Bengal 4.5 Under SPV executing RoB cum Flyover Implementation under Sagarmala at Ranichak level Programme crossing at Kolkata Port
34 Expressway- Haldia West Bengal 250 existing 4 lane No separate e/way Panagarh highway being planned (Durgapur) to planned for 6 Haldia laning
35 Road connectivity Sagar West Bengal 30 DPR under between proposed preparation by Port at Sagar NHIDCL Island and Muriganga bridge and between Muriganga bridge and proposed Rail yard at Kashinagar.
36 Development of Sirkhazi Tamil Nadu 10 DPR to be prepared DPR to be prepared roads connectivity by Port. Letter to to Cuddalore/ Tamil Nadu Sirkhazi Port Government stating that the project can be considered under Sagarmala provided the State acquire the requisite land and execute the project through a SPV between State, Sagarmala and NHAI.
37 Expressway- Enayam Tamil Nadu 700 4 lane highway No separate e/way Whitefield (NH 48/17/47) planned industrial cluster and SH exists/ (Bangalore) to being planned. Enayam 57
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38 Expressway - Enayam Tamil Nadu 450 4 lane highway No separate e/way Tirupur (NH 47/47A) planned industrial cluster exists. (Coimbatore) to Enayam
39 Connectivity to Enayam Tamil Nadu 25 DPR under Land survey not yet Enayam through preparation complete. Port to Nagarcoil prepare the DPR which should also look for common alignment with rail.
40 Last mile road Enayam Tamil Nadu 10 DPR under IPRCL is preparing connectivity for preparation the DPR. development of Enayam Port in Kanyakumari district
41 SH-2:Haveri- Belekeri Karnataka 60 DPR is to be Bids are invited. Yekambi(54km), prepared Declaration of SH to SH-69:Yekambi- NH is to be done Kumta/Belekere
42 Connectivity of Vadhavan Maharashtra 25 DPR under Land survey Wadhavan to NH preparation complete and land 8 through Tarapur- requirement is being Boisar or finalised. Port to Chinchani-Vangaon prepare the DPR or Dahanu which should also (25 km) look for common alignment with rail.
TOTAL 4616 58
ANNEXURE-IV
List of Witnesses who appeared before the Department-related Parliamentary Standing Committee on Transport, Tourism And Culture.
23.3.2017 Ministry of Shipping 1. Shri Rajive Kumar, Secretary 2. Dr. Pradeep Kumar, JS & FA 3. Shri Barun Mitra, Joint Secretary (Ports) 4. Shri Pravir Krishn, Joint Secretary (Shipping & Parliament) 5. Shri Rabindra Agarwal, Joint Secretary (Sagarmala) 6. Shri Rajat Sachar, Adviser (Economics) 7. Ms. Vibha Pandey, Pr. CCA 8. Shri B. Krishnamoorthy, Director (Finance) 9. Shri A.K. Saran, Director 10. Shri Arvind Chaudhary, Director Inland Waterways Authority of India 1. Shri Amitabh Verma, Chairman 2. Shri Pravir Pandey, Vice Chairman Visakhapatnam Port Trust & I/C Kolkata Port Trust Shri M.T. Krishna Babu, Chairman Mumbai Port Trust Shri Sanjay Bhatia, Chairman Chennai Port Trust Shri P. Raveendran, Chairman New Mangalore Port Trust Shri P.C. Parida, Chairman Paradip Port Trust Shri Rinkesh Roy, Chairman V.O. Chidambarnar Port (TP 1) Shri S.A.C. Bose, Chairman Cochin Port Trust Shri A.V. Ramana, I/c Chairman 59
Kandla Port Trust Shri Alok Singh, Deputy Chairman Kamrajar Port Ltd. Shri M.A. Bhaskarachar, CMD Mormugao Port Trust 1. Shri I. Jayakumar, Chairman 2. Shri Vinayaka V. Rao, FA & CAO Jawaharlal Nehru Port Trust Shri Anil Diggikar, Chairman Indian Port Association Shri A. Janardhana Rao, MD Indian Port Rail Corporation Ltd. Shri Anoop Agarwal, MD Shipping Corporation of India 1. Shri Anoop Kumar Sharma, CMD 2. Capt. Yogesh Puri, RGM Dredging Corporation of India Shri Rajesh Tripathi, CMD Cochin Shipyard Ltd. Shri Madhu S. Nair, CMD Central Inland Water Transport Corporation & Hoogly Dock & Port Engineers Ltd. Shri S. Balaji Arun Kumar, CMD Indian Maritime University Shri K. Ashok Vardhan Shetty, Vice Chancellor Director General Shipping 1. Dr. Malini V. Shankar, DG 2. Shri Vatsalya Saxena, Deputy Director General Directorate of Light Houses & Light Ships 1. Shri J.S. Chauhan, Director General 2. Shri S.S. Yadav, Dy. Director General Andaman and Lakshadweep Harbor Work Shri Sunil Madhubavi, Chief Engineer-cum-Administrator